Billionaire investor Bill Ackman's Pershing Square Capital Management has made a significant $2 billion investment in Meta Platforms, now dedicating over half of his fund's total investments to AI stocks. Ackman sold shares in Hilton Worldwide and Chipotle Mexican Grill to fund this move, viewing Meta as an undervalued "powerhouse AI stock" with strong long-term potential. Meta has seen remarkable growth, up 1,650% since its IPO, and plans to spend up to $135 billion on AI development by 2026.
Beyond Meta, Ackman also invested in Alphabet and Amazon, recognizing their substantial AI potential. His confidence in Meta's financial strength and advertising business remains high, even with the considerable AI infrastructure spending. This strategic shift by Ackman underscores a broader investor interest in artificial intelligence, with "Shark Tank" host Kevin O'Leary also highlighting AI as a major force in future investing, alongside collectibles.
The AI sector faces both immense growth and significant challenges. Anthropic, an AI company founded just five years ago, has rapidly grown to a $537 billion valuation, raising $30 billion recently. Its Claude Code tool has driven a tenfold annual revenue increase for three years, and the company plans to spend over $30 billion on data centers and semiconductors this year. However, the industry is grappling with a severe AI memory shortage, with Phison CEO Pua Khein-Seng warning it could last until 2030 or longer, potentially bankrupting electronics firms and drastically cutting mobile phone production by 200 to 250 million units. Nvidia's new Rubin AI GPUs alone are expected to consume a large portion of global NAND production.
In other developments, cloud infrastructure startup Render secured $100 million in funding, reaching a $1.5 billion valuation. Render, which operates on Amazon Web Services and Google Cloud Platform, credits chatbots like ChatGPT for boosting its business. Meanwhile, Tianrong Internet Products and Services Inc. launched the DEPIN Token, aiming to make AI computing 50-80% cheaper by allowing users to rent out unused GPUs. Duolingo is also leveraging AI to enhance its financial performance in 2026, using AI-powered features to boost engagement and create courses more efficiently. Despite these advancements, AI is creating market instability, with companies like Palantir facing struggles and investors worrying about the high costs and uncertain returns of AI investments.
Looking ahead to 2026, the space sector anticipates a major breakout, driven by new government policies and the rise of orbital computing, linking space investment directly to AI infrastructure. A potential SpaceX IPO could further energize this area. In Singapore, companies are heavily investing in AI, with an average of 23% of revenue allocated, yet only 23% report achieving expected returns. The government plans to establish a National AI Council in 2026 to guide responsible AI adoption and development, addressing challenges like high wages and a shortage of skilled workers.
Key Takeaways
- Bill Ackman's Pershing Square Capital invested $2 billion in Meta Platforms, making AI stocks over half of his fund's total investments, and also invested in Alphabet and Amazon for their AI potential.
- Meta Platforms, which has grown 1,650% since its IPO, plans to spend up to $135 billion on AI development by 2026, with Ackman viewing it as an undervalued "powerhouse AI stock."
- Anthropic, an AI company founded five years ago, achieved a $537 billion valuation after raising $30 billion, with its Claude Code tool driving a tenfold annual revenue increase to a $14 billion run-rate.
- Anthropic plans to spend over $30 billion on data centers and semiconductors this year and is considering an initial public offering.
- Phison CEO warns of a severe AI memory (DRAM, NAND Flash) shortage lasting until 2030 or longer, potentially causing electronics firms to go bankrupt and reducing mobile phone production by 200-250 million units, partly due to Nvidia's Rubin AI GPUs.
- Cloud infrastructure startup Render raised $100 million, valuing it at $1.5 billion, and operates on Amazon Web Services and and Google Cloud Platform, attributing growth to chatbots like ChatGPT.
- Tianrong Internet Products and Services Inc. launched the DEPIN Token ($DEPIN) on Solana to power DEPINfer.com, a marketplace aiming to reduce AI computing costs by 50-80% by utilizing unused GPUs.
- Duolingo is leveraging AI to improve its 2026 financials, using AI-powered features to boost user engagement, premium subscriptions, and create courses more efficiently.
- AI is causing market instability, putting pressure on major tech stocks and leading to struggles for companies like Palantir, amidst concerns about high investment costs and uncertain returns.
- Singaporean companies invest an average of 23% of their revenue in AI, but only 23% report achieving expected returns, prompting the government to plan a National AI Council in 2026 to guide responsible AI adoption.
Billionaire Ackman Sells Hilton for Big AI Bet on Meta
Bill Ackman's Pershing Square Capital sold its Hilton Worldwide shares. He then bought Meta Platforms, an AI stock that has grown 1,650% since its IPO. Ackman believes Meta's business greatly benefits from AI integration, despite high spending on AI infrastructure. He also invested in Alphabet and Amazon for their AI potential. Hilton's stock became too expensive, leading Ackman to seek better opportunities.
Billionaire Ackman Bets Big on Meta AI Stock
Billionaire Bill Ackman's hedge fund, Pershing Square Capital Management, invested about 10% of its money into Meta Platforms. To do this, Ackman sold his shares in Chipotle Mexican Grill and Hilton Worldwide Holdings. He sees Meta as a "powerhouse AI stock" and believes its current price does not fully show its long-term AI potential. Meta plans to spend up to $135 billion on AI development in 2026, but Ackman is confident in its financial strength and advertising business. Many Wall Street analysts also recommend buying Meta stock.
Ackman Reveals $2 Billion AI Investment in Meta Platforms
Billionaire Bill Ackman's Pershing Square Capital Management revealed a new $2 billion investment in Meta Platforms. This move makes AI stocks account for over half of his fund's total investments. Ackman believes Meta's current stock price does not fully reflect its strong long-term potential from AI. He sees Meta as historically inexpensive, trading at a discount compared to its past earnings ratios. This investment highlights Ackman's strong belief in the future growth of artificial intelligence.
Billionaire Ackman Sells Hilton for Big AI Bet on Meta
Bill Ackman's Pershing Square Capital sold its Hilton Worldwide shares. He then bought Meta Platforms, an AI stock that has grown 1,650% since its IPO. Ackman believes Meta's business greatly benefits from AI integration, despite high spending on AI infrastructure. He also invested in Alphabet and Amazon for their AI potential. Hilton's stock became too expensive, leading Ackman to seek better opportunities.
AI and Collectibles May Drive Future Investing Says O'Leary
The stock market reopened after Presidents' Day Weekend, with the Dow reaching new highs. Investors are exploring new ways to build wealth. Canadian businessman and "Shark Tank" host Kevin O'Leary shared his thoughts on how artificial intelligence and collectibles could become major forces in future investing. He believes these areas offer unique opportunities for growth.
Space AI and Orbital Compute Set for Big 2026 Growth
Space stocks are poised for a major breakout in 2026, driven by new government policies and the rise of orbital computing. A White House Executive Order, signed in December 2025, aims for a US Moon landing by 2028 and faster commercial space contracts. This order creates deadlines for policy changes and procurement reforms, which will act as stock catalysts throughout 2026. The idea of "orbital data centers" is also gaining traction, linking space investment to AI infrastructure. A potential SpaceX IPO in 2026 could further boost the entire space sector.
Phison CEO Warns AI Memory Crisis Will Bankrupt Electronics Firms
Phison CEO Pua Khein-Seng warns that many consumer electronics companies may go bankrupt or stop making certain products by the end of 2026. This is due to a severe shortage of AI memory, including DRAM and NAND Flash, which could last until 2030 or even longer. Memory makers are now asking for three years of payment upfront, a first for the industry. The CEO expects mobile phone production to drop by 200 to 250 million units, with PC and TV production also seeing big cuts. Nvidia's new Rubin AI GPUs alone could use a large part of the world's NAND production.
Singapore Companies Invest Heavily in AI But Returns Vary
Companies in Singapore are investing a lot in artificial intelligence, but many are not seeing the expected financial returns. A PwC survey shows that only 23% of Singaporean businesses report getting their expected returns from AI, despite spending an average of 23% of their revenue on it. Singapore faces challenges like high wages, strict regulations, and a shortage of skilled workers. The government plans to create a National AI Council in 2026 to guide AI development and ensure responsible adoption. Successful companies are focusing AI on real cost-saving areas and using it to manage costs rather than cut jobs.
Render Cloud Startup Raises $100 Million Valued at $1.5 Billion
Cloud infrastructure startup Render recently raised $100 million in funding, bringing its valuation to $1.5 billion. Founded in 2018, the San Francisco-based company has over 4.5 million developers using its tools and boasts revenue growth above 100%. Render runs its software on Amazon Web Services and Google Cloud Platform, but is also testing its own servers to potentially lower costs. CEO Anurag Goel noted that chatbots, like ChatGPT, have significantly helped grow their business by recommending Render to users. The new funds will help Render hire more technical staff and build new features.
Anthropic AI Valued at $537 Billion After Rapid Growth
Anthropic, an AI company founded just five years ago by siblings Dario and Daniela Amodei, has reached an astonishing $537 billion valuation. The company recently raised $30 billion, showing rapid growth from its $61.5 billion valuation a year ago. Anthropic's current revenue run-rate is $14 billion, increasing more than tenfold each year for the past three years. Its Claude Code tool, launched last May, has significantly boosted revenue and user engagement. The company plans to spend over $30 billion on data centers and semiconductors this year and is considering an initial public offering soon.
AI Creates Market Instability and Investor Challenges
Investors are feeling uncertain as artificial intelligence dramatically changes the market. Major tech stocks, including the Magnificent Seven, are under pressure, and companies like Palantir are struggling. While AI threatens many industries with competition, there are also worries about the huge investments needed and whether they will pay off. This mix of disruption and high costs is making the market unstable. Despite some positive economic data, the Federal Reserve is not rushing to cut interest rates, adding to investor concerns.
DEPIN Token Launches to Offer Cheaper AI Computing
Tianrong Internet Products and Services Inc. (TIPS) launched its new DEPIN Token ($DEPIN) on the Solana blockchain's Raydium Launchpad. This token powers DEPINfer.com, a new marketplace that lets people rent out their unused GPUs from gaming PCs and data centers. The goal is to make AI inference and training 50-80% cheaper than traditional cloud services. $DEPIN will be used for payments, rewarding GPU providers, and allowing token holders to vote on platform changes. This initiative aims to create a global sharing economy for GPU resources, tapping into the growing AI and decentralized compute markets.
Duolingo Bets on AI to Boost Financials in 2026
Duolingo is relying on artificial intelligence to improve its financial performance in 2026. In 2025, AI-powered features, including premium conversational tools, boosted user engagement and premium subscriptions. AI helps Duolingo create and update language courses faster and with less human effort, which could lower costs and increase profit margins. The company also uses AI to offer higher-priced Duolingo Max subscriptions with advanced features. Investors will watch for improved margins, increased average revenue per user, and stable customer retention to see if AI truly benefits Duolingo's bottom line.
Sources
- Billionaire Bill Ackman Sold Hilton Worldwide And Bought This Artificial Intelligence (AI) Stock Up 1,650% Since Its IPO
- Billionaire Bill Ackman Just Loaded Up on This Powerhouse AI Stock. Should You?
- Billionaire Bill Ackman Is Betting Big on AI -- and He Just Revealed a New $2 Billion Investment
- Billionaire Bill Ackman Sold Hilton Worldwide And Bought This Artificial Intelligence (AI) Stock Up 1,650% Since Its IPO
- "Grown Men Will Weep": How AI and Collectibles Could Drive Investing's Future
- Orbital Compute and Space AI Stocks: The 2026 Breakout Setup
- Many consumer electronics manufacturers 'will go bankrupt or exit product lines' by the end of 2026 due to the AI memory crisis, Phison CEO reportedly says
- Singapore AI ROI: High Spend, Hard Returns
- Cloud startup Render raises funding at $1.5 billion valuation as AI-built apps boom
- The siblings who built a $537 billion giant in five years
- Investors Struggle as AI Wrecking Ball Reshapes the Market
- New $DEPIN token targets 50–80% cheaper AI by renting idle GPUs
- Can AI Actually Improve Duolingo's Financials in 2026?
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